Goal of Price-Savvy CDHP Shoppers Still Largely
Unfulfilled

November 29, 2006 (PLANSPONSOR.com) - Even though
convincing employees to become savvy price-conscious
consumers of health services has been a key underpinning of
the consumer directed health plan (CDHP) movement, a new
survey found that the goal may still be mostly
unrealized.

A Kaiser Family Foundation survey of enrollees in
CDHPs and traditional plans found that relatively few in
CDHPs said they have used their plan’s Web site to
compare prices across providers (5%) or to compare
quality across providers (7%) – essentially the same low
rates of comparison shopping reported by those in
traditional plans, according to a Kaiser news
release.

Kaiser researchers said the low level of enrollee
shopping around may reflect lack of interest on the part
of patients or the absence of easily-accessible price and
quality information in today’s health care system.

Most CDHP enrollees surveyed said it is difficult
to find trustworthy information about the cost of health
care provided by doctors (61%) and hospitals (64%),
according to the news release. Half said the same about
quality information for those providers.

Prescription drug shopping is an exception, with people
in consumer-directed plans somewhat more likely than those
in traditional plans to say they used the Internet to shop
for drugs (19% vs. 10%).

Cost on Enrollees’ Minds

Saying that the overall picture of CDHP enrollee
behavior was “mixed,” the Kaiser survey found positive
signs that cost was at least on minds of CDHP enrollees.
Enrollees surveyed appeared more likely to ask their
doctors and other providers about costs than those in
more traditional employer-sponsored health plans.

Compared to people with traditional health insurance,
those in CDHPs were more likely to say they always or
sometimes ask about the cost of a doctor’s visit before
making an appointment (39% vs. 23%) or that they always
or sometimes ask about less costly alternatives (57% vs.
38%).

More than half of CDHP enrollees who have used any
services under their plans said being in such a plan has
changed their approach to using health care. Of those,
57% said their approach changed due to cost
considerations.

According to the news release, a measure of the
attractiveness of consumer-driven plans may be enrollees’
readiness to vote with their feet. Half (50%) of CDHP
enrollees surveyed said they would be likely to switch
plans if given the opportunity, compared with one third
of those in traditional plans. Thirty percent of those in
consumer-directed plans said they would try to switch
plans if they developed a chronic condition that required
more care – twice the percentage of those with
traditional coverage (15%).

The survey also looked at enrollees’ reports of delaying
and skipping needed care for cost reasons, and found CDHP
enrollees were twice as likely to say they needed medical
care in the past year but did not get it due to costs
(23% vs. 11%).

In terms of demographics, Kaiser found CDHP enrollees on
average are healthier, wealthier and better educated than
those with traditional insurance.

The survey of 1,389 people was conducted in June and July
and included 272 respondents who are enrolled in
consumer-directed health plans and 715 with more
traditional employer-sponsored insurance.